Algoma Steel Gets $150 Million Boost

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The Honourable Navdeep Bains, Minister of Innovation, Science, Economic Development and Terry Sheehan, Member of Parliament for Sault Ste. Marie

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The Government of Canada is delivering on its commitment to support the dedicated steel and aluminum workers, their families and their communities.

Today, the Honourable Navdeep Bains, Minister of Innovation, Science and Economic Development, announced an investment of up to $90 million to Algoma Steel, Canada’s second largest integrated steel producer.

This investment will create and maintain 3,050 jobs in Sault Ste. Marie, Ontario. Algoma Steel is undertaking $600 million in capital investments that are vital to the local economy and national steel industry. These investments include projects to adopt new technologies, improve productivity, and sustain competitiveness in the global market. Improvements will help Algoma Steel modernize its core production assets including the steel rolling and steel plate mills which will position the company to offer a wider range of steel grades and increase production capabilities.

The government’s investment in Algoma Steel, a world-class steel producer, is ensuring the company will continue to provide thousands of Canadians with good, middle-class jobs and remain important contributors to our economy and manufacturing supply chains. By leveraging multiple funding programs, our government is strategically deploying resources to support the steel sector.

Ontario’s Government is protecting thousands of jobs, pensions and the environment with an investment at Algoma Steel Inc. in Sault Ste. Marie.

Today, Minister of Energy, Northern Development and Mines Greg Rickford visited Algoma Steel Inc. to announce a $60 million repayable loan from the provincial government.

“Our government is committed to ensuring Algoma Steel remains competitive and sustainable in a tough market,” said Minister Rickford. “The investment announced today secures thousands of jobs and pensions and signals Northern Ontario is open for business.”

“This support will enable us to make important investments in new technology that will enhance our reliability, extend asset life and reduce our environmental footprint. We greatly appreciate the province’s investment in Algoma Steel’s long-term sustainability,” said Kalyan Ghosh, CEO, Algoma Steel Inc.

The investment is part of the purchase and restructuring of Algoma Steel, securing a $600 million capital investment at the steel making facility. The restructuring includes a long-term commitment to protect jobs and fund Algoma Steel’s three defined benefit pension plans, benefiting approximately 3,000 current and 6,300 former or retired employees.

The province has also negotiated an agreement that would require the new owners to identify and address past environmental contamination of the Sault Ste. Marie mill site.

3 COMMENTS

  1. It’s interesting, but more so, very, very sad how trudeau’s federal liberal government always seems to have a quick fix, let’s not get our hands dirty, let’s keep everyone happy because we want to continue with our “sunny ways” approach, that we will do whatever it takes to get re-elected. That trudeau will continue to get away with blabbing from both sides of his mouth because, after all, it’s working and Canadians are falling for it. But, what’s really sad, folks, is the quick fix for this government is too simply pay, with your tax dollars, for anything that needs fixing. ie. buy a pipeline, continue to pay billions to special interest groups who resist economic development, etc. Simply use your tax dollars and enough Canadians will continue to fall for this. Very sad…………but true. Good luck to all of us who pay the tax bills. Because, sadly folks, the worse is yet to come if trudeau gets re-elected in 2019. And it looks like he will $$???$$.

  2. Listen closely, people that work in the private sector…here that swooshing sound? The sound of your hard-earned tax dollars being flushed down a toilet at Agony Steel?

  3. Could anyone tell us truthfully exactly who ALL of the parties are that have their fingers in this so called (by Mr. Ghosh) “group of investors”?
    When asked outright by Lou-Anne who they were he would would not say anything except “a group of investors”. We would like to see a detailed list of all of the people’s names (not incorporated or numbered companies)
    This ongoing issue raises all sorts of red flags and bad past memories for many taxpayers as well as those who never got paid the millions they were owed and some even forced out of business.

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